Elbit SystemsESLT -1.85%67 Gross Margin % is 25.22% as of Mar. 2026, which is 0% above its 10-year median of 25.10. GuruFocus rates ESLT with a GF Score™ of 67/100 and a GF Value™ of $363.31 (Significantly Overvalued). Among 342 Aerospace & Defense companies, Elbit Systems ranks worse than 54.39% on this metric.
The historical rank and industry rank for Elbit Systems's Gross Margin % or its related term are showing as below:
ESLT'
s Gross Margin % Range Over the Past 10 Years
Min: 24.05 Med: 25.1 Max: 29.7
Current: 24.7
During the past 13 years, the highestGross Margin % of Elbit Systems was 29.70%. The lowest was 24.05%. And the median was 25.10%.
ESLT's Gross Margin % is ranked worse than 54.39% of 342
companies
in the Aerospace & Defense industry
Industry Median: 26.65
vs ESLT: 24.70
Elbit Systems had a gross margin of 25.22% for the quarter that ended in Mar. 2026 => Competition eroding margins
The 5-Year average Growth Rate of Gross Margin for Elbit Systems was -0.90% per year.
Elbit Systems (NAS:ESLT) Gross Margin % Explanation
Warren Buffett believes that firms with excellent long term economics tend to have consistently higher margins.
Durable competitive advantage creates a high Gross Margin % because of the freedom to price in excess of cost. Companies can be categorized by their Gross Margin %
1. Greater than 40% = Durable competitive advantage
2. Less than 40% = Competition eroding margins
3. Less than 20% = no sustainable competitive advantage
Consistency of Gross Margin is key
Elbit Systems had a gross margin of 25.22% for the quarter that ended in Mar. 2026 => Competition eroding margins
Be Aware
If a company loses its competitive advantages, usually its gross margin declines well before its sales declines. Watching Gross Margin % and Operating Margin % closely helps avoid value trap situations.
Elbit Systems Gross Margin % Related Terms
Elbit Systems Gross Margin % Historical Data
* Premium members only.
The historical data trend for Elbit Systems's Gross Margin % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Aerospace & Defense subindustry, Elbit Systems's Gross Margin %, along with its competitors' market caps and Gross Margin % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Elbit Systems Gross Margin % vs Aerospace & Defense Industry
For the Aerospace & Defense industry and Industrials sector, Elbit Systems's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Elbit Systems's Gross Margin % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
A positive Gross Profit is only the first step for a company to make a net profit. The gross profit needs to be big enough to also cover related labor, equipment, rental, marketing/advertising, research and development and a lot of other costs in selling the products.
Elbit Systems (ESLT) has a Gross Margin % of 25.22% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Elbit Systems and its competitors. This is near median its historical median of 25.10. Over the past decade, Elbit Systems' Gross Margin % has ranged from 24.05 to 29.70. According to the industry distribution chart, Elbit Systems ranks #186 out of 342 companies in the Aerospace & Defense industry, placing it in the top 54.4%.
Is Elbit Systems' Gross Margin % too high?
Elbit Systems' current Gross Margin % of 25.22% is near median its 10-year median of 25.10. Over the past 10 years, this metric has ranged from a low of 24.05 to a high of 29.70. The Aerospace & Defense industry median Gross Margin % is 26.65. Elbit Systems' value of 25.22% is 5.4% below this industry median. Based on the distribution chart, Elbit Systems ranks #186 out of 342 companies in the Aerospace & Defense industry, which is below the industry midpoint. Overall, Elbit Systems has a GF Score™ of 67/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Elbit Systems' Gross Margin % compare to GE and RTX?
According to the Aerospace & Defense industry distribution chart, Elbit Systems ranks #186 out of 342 companies for Gross Margin %. This places Elbit Systems in the lower half of its industry. The industry median Gross Margin % is 26.65. Elbit Systems' value of 25.22% is 5.4% below this benchmark. Historically, Elbit Systems' own Gross Margin % has ranged from 24.05 to 29.70 over the past decade. While the company's 10-year median is 25.10 vs. the industry median of 26.65, Elbit Systems has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Gross Margin % for an Aerospace & Defense company?
The median Gross Margin % among Aerospace & Defense companies is 26.65, based on 342 companies in the industry. Companies in the top quartile (top 25%) have a Gross Margin % significantly above this median, while those in the bottom quartile fall well below. However, Gross Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Elbit Systems's current Gross Margin % of 25.22% is 5.4% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Gross Margin % mean?
A high Gross Margin % can signal that a stock is expensive relative to its fundamentals. Gross margin is the ratio of total gross profit to net sales. View historical data on Elbit Systems and its competitors. For the Aerospace & Defense industry, the median Gross Margin % is 26.65 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Elbit Systems's current Gross Margin % is 25.22%, which is near median its own 10-year median of 25.10. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Elbit Systems stock overvalued right now?
Based on GuruFocus' analysis, Elbit Systems (ESLT) is currently considered Significantly Overvalued. The stock's GF Value™ is $363.31, compared to a current price of $737.00 — trading 102.9% above its estimated fair value. The current Gross Margin % is 25.22%, which is near median its 10-year median of 25.10 and 5.4% below the Aerospace & Defense industry median of 26.65. Elbit Systems' overall GF Score™ is 67/100. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Gross Margin % calculated?
Gross Margin % is calculated from a company's financial statements. For Elbit Systems (ESLT), the current Gross Margin % is 25.22% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Elbit Systems (ESLT) Overvalued in 2026?
Based on GuruFocus' analysis, Elbit Systems stock appears to be overvalued.
The current stock price of $737.00 is trading 102.9% above its estimated GF Value™ of $363.31.
GuruFocus considers Elbit Systems to be Significantly Overvalued.
Key valuation signals for ESLT:
Gross Margin %: 25.22% (near median its 10-year median of 25.10)
GF Value™: $363.31 vs. price of $737.00 (102.9% above fair value)
Industry Position: 5.4% below the Aerospace & Defense median (#186 of 342)
No single metric tells the full story. See the ESLT stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Elbit Systems Ltd is a technology company involved in producing a portfolio of systems and products for aircraft, land, and naval applications. The company's products are used for defense, homeland security and commercial flight capabilities. Its systems and solutions may be installed on new platforms or it may perform a comprehensive modernization program to transform a platform. Elbit Systems gives instructions to its customers on the proper maintenance of its products and will provide support team specialists when the customer cannot fix a problem. The company operates in five segments: Aerospace; C4I and Cyber; ISTAR and EW; Land; and ESA. It derives maximum revenue from Land Segment. Geographically, it operates in Israel; North America; Europe; Asia-Pacific; Latin America; and Others.
67GF Score
Get the complete analysis for ESLT
Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
ESLT has been successfully added to your 
